Server based gaming certainly has the potential of
ushering the next big technological wave into the land-based casino gambling
industry. In the U.S. a handful of casino operators are giving this technology a
try, including Barona Valley Ranch in California, while in the UK, Inspired
Gaming Group continues operating their server-based machines out of several
leisure destinations and retail stores.
Server-based machines (SBG) at Inspired Gaming
Group are evidently doing very well, considering Inspired Gaming's end of year
results in 2006. According to the company's financial statement, end of year
earnings were up by over 5% for a turnover of £171 million, while EBITDA was up
to £21 million for the year (up 9.4% from 2005 totals). As for the first quarter
totals for 2007, the company is expecting even better figures. Already,
non-audited EBITDA is up by approximately 40% compared to the same time in 2006.
2006 total earnings show that sever-based slots
accounted for nearly 33% of Inspired Gaming's earnings, while revenue resulting
from machine management rose over 20% and server software sales were up by
nearly 70%. It is estimated that nearly one quarter of the betting terminals in
the UK are stocked by Inspired Gaming's server-based machines.
Much of this success directly resulted from new
contracts signed with heavyweight casino operators such as William Hill and
Tabcorp. 2007 results are expected to rise even more, following recent contracts
with Gala Coral, Paddy Power and Party Gaming (who is known for their own server
based casino games, albeit of the online version). In fact, server-based slots
owe much of their existence to their virtual prototypes offered at online
casinos and internet gaming sites like Party Gaming.